Citigroup Selected As Preferred Fund Administration Service Provider and Global Custodian for Standard Life Investments

27 June 2003, New York -- Citigroup Global Transaction Services announced today that Standard Life Investments has reached an agreement in principle to utilize Citigroup as a preferred service provider for its fund administration operations based in Edinburgh, Scotland. Standard Life Investments is seeking to strengthen its global operational capabilities in support of its development as a leading global fund management house.

As part of the agreement in principle, Standard Life Investments, which manages a total of $130 billion of assets, will appoint Citigroup as global custodian.

"Following careful consideration to partner with a global provider we have entered into a detailed evaluation with Citigroup," said Sandy Crombie, Chief Executive, Standard Life Investments. "As a service provider Citigroup would give us access to leading technology and operational resources. Complemented by the strength and experience of the Standard Life Investments' team we believe this to be a great opportunity to establish an exciting business in Edinburgh."

Pending the completion of the due diligence, up to 90 Standard Life Investment employees would transfer to Citigroup but remain based in Edinburgh in a new facility. This transaction would have no impact on other Citigroup locations or employees. Standard Life Investments expects to finalize its decision in the next three months.

"We are excited about the possibility of coupling the expertise of the Standard Life Investment Administration team with our industry leading operations and technology capabilities, which would create a world class funds administration unit in Edinburgh," said Sandy Jaffee, Head of Financial Institutions for Citigroup Global Transaction Services. "This developing relationship with Standard Life Investments demonstrates our strategic focus on meeting the fund administration needs of global fund managers worldwide."

"Citigroup has had a presence in Edinburgh for 25 years and is committed to building this new operation into a world class, scaleable business and we look forward to working together with Standard Life Investments and becoming an integral part of the Edinburgh financial community," said Jaffee.

Jaffee said clients who partner with Citigroup on their fund administration offerings will realize meaningful benefits, including lower operating costs, enhanced service levels and improved resource allocation.

###

About Standard Life Investments
With assets under management of £78 billion (15.05.03) Standard Life Investments is one of the UK's major investment houses and controls around 2% of the UK stock market. Standard Life Investments is a wholly owned subsidiary of The Standard Life Assurance Company. The parent company's financial position is regarded as "very strong" by Standard & Poor's and "excellent" by Moody's. Standard Life Investments operates in the UK, Canada, Hong Kong, Ireland and the USA. Standard Life Investments also operate in India through a joint venture with HDFC AMC. www.standardlifeinvestments.co.uk

About Citigroup
Citigroup (NYSE: C), the preeminent global financial services company with some 200 million customer accounts in more than 100 countries, provides consumers, corporations, governments and institutions with a broad range of financial products and services, including consumer banking and credit, corporate and investment banking, insurance, securities brokerage, and asset management. Major brand names under Citigroup's trademark red umbrella include Citibank, CitiFinancial, Primerica, Smith Barney, Banamex, and Travelers Life and Annuity. Additional information may be found at: www.citigroup.com. About Citigroup Global Transaction Services
Citigroup® Global Transaction Services is a leading provider of integrated cash management, trade finance and securities services for corporations, financial institutions, intermediaries and governments around the world. With over $ 85 billion in average liability balances, more than $5.3 trillion in assets under custody and the largest proprietary branch network, Citigroup's award-winning operating systems and Internet-based delivery channels enable clients to manage and monitor working capital and investments more efficiently, streamline transaction processing cycles, and re-engineer receivables and payment processes. Citigroup® Global Transaction Services provides clients with access to Citigroup's full range of capabilities and solutions along with an on-the-ground presence and in-depth knowledge of more than 90 local markets. For additional information, see www.transactionservices.citigroup.com.

Citigroup Global Transaction Services is part of Citigroup's global corporate and investment bank, which provides complete financial solutions to corporations, governments and institutional investors in more than 100 countries. Award-winning businesses include corporate and investment banking, sales and trading, transaction services, commercial finance and insurance products. Additional information can be found at: www.citigroupssb.com

ARCHIVES